I am located in Florida and am currently in the process of short selling my home. I currently am working with a realtor and a buyer has made an offer that should satisfy the 1st lien holder(BoA) minimum acceptance price. However we are still awaiting an approval letter. We have recieved an approval from the 2nd lien holder(Regions), which currently holds a HELOC on the property. We have included in the sales contract a term that upon acceptance of the offer the lenders agree to forgive the dificency and will take no recourse action. My questions are;
1) Is including the non recourse term in the sales contract sufficient to avoid recourse from the lender, considering that FL is a recourse state by default? Or will I need to make sure that it specifically lists in the approval letter from the lender that no recourse will be taken?
2) The 2nd lenders approval will accept the offer if I pay a portion of the balance of the HELOC. They have listed a 0% interest payment plan or a lump sum at closing. Is this negotiable? Will signing this approval letter prohibit me from filing BK and including the dificiency from the 2nd?